using excel

You are considering making an investment which requires you to pay $1,149 today. In return you expect to receive $201 in 5.8 years. After that, you expect to receive an annuity stream of annual payments. The first payment of $642 will be received in 12 years. Subsequent payments will shrink (not grow) at an annual rate of 5.9%. The last payment in the annuity stream will occur 20 years from today. The appropriate discount rate (which reflects the risk of the investment), is E(r) - 7.9% per year. Compute the fair NPV of the investment